The core focus of a recent episode of SME Clinic, a programme broadcast on BusinessDay Television (BDTV), features experienced professionals from diverse industries. One of the notable contributors featured on the episode was Damilare Davola, a seasoned investment banker and business analyst. He is an expert in technological research.
Damilare stated that one of the keys to a thriving business is the need for clarity. He went on by saying that most Nigerian business owners never cultivate the habit of conducting research; they basically make use of common sense, which can’t be used to run a business, and that is where the beauty of AI comes in. He said that a business owner can easily diagnose the problem of the business, understand the environmental factors, collate various data and also know how to apply it to their business. “Precision is another key that shouldn’t be overlooked,” he said.
Damilare went further to explain the importance of cash flow and how businesses can strengthen it, even in periods of economic downturn. He began by simplifying the concept, noting that cash flow simply refers to the money coming into a business versus the money going out. However, he stressed that before any meaningful cashflow strategy can be applied, business owners must first clearly understand the specific downturns they are facing and how those challenges directly affect their operations. Only with this clarity, he explained, can cashflow be managed effectively.
According to Damilare, every business’s cash flow, regardless of industry, can be broken down into two core components: revenue and cost. Revenue represents what flows into the business, while cost reflects what goes out. He emphasised that a detailed understanding of these two elements is essential to solving most cash flow problems. On the revenue side, he pointed out that business owners must clearly define who they are selling to and how much those customers are willing to pay for their products or services.
He further highlighted that one of the smartest approaches to starting or restructuring a business in the coming years is to focus on high-margin opportunities. Using fashion as an example, he explained that while selling physical products like clothes or shoes can be profitable, combining them with a service-based equivalent creates far greater earning potential. With services, costs often remain relatively stable while revenue can grow significantly, offering businesses almost unlimited upside.
Damilare also noted that businesses focused solely on physical products may face shrinking margins in the near future due to economic pressures. As a result, he encouraged entrepreneurs to think beyond traditional models and explore innovative alternatives. He mentioned that barter systems are gaining renewed interest and can be strategically used by business owners to reduce operational costs. In his view, sustainable cashflow growth lies in expanding service offerings, leveraging ideas, and forming effective partnerships that create value while keeping costs under control.
He drew his conclusion by reiterating that the most important thing in 2026 and beyond as a business owner is clarity and it shouldn’t be taken lightly. A business owner must resist the urge to remain ordinary, average and leverage on just random information for their business that everyone else can get because we are entering an era where it would be a bit tough to make money doing the regular things. We are currently in the era where your business and products help those who have no idea but just a need and are leaving to an era whereby your customer now has an idea and can tell the quality of what you offer and can weigh it effectively because of how cheap and accessible information now is. He then advised business owners, saying that “The future isn’t for those who want to do business as usual but for those that can redefine the stratoscope.”
